Facebook Agrees to Acquire Giphy for $400 million
Facebook (NASDAQ: FB) announced plans to purchase privately held Giphy, Friday. Facebook will pay $400 million for the image-sharing company, reports to Axios, which broke the news. Giphy will integrate primarily with Facebook's Instagram platform, though other apps will also make use of the image-sharing features.
"We see the positivity in how people use GIPHY in our products today, and we know that bringing the GIPHY team's creativity and talent together with ours will only accelerate how people use visual communication to connect with each other," said Facebook in announcing the deal.
The two companies have engaged in talks since before the pandemic. Initially, this had focused on a partnership rather than an acquisition. However, Facebook-owned applications make up fully 50% of Giphy's traffic, indicating some justification for deeper integration.
Source Fool.com
